John E. Pytte Oct. 24, 2016

erasing debtSo, you owe money and it’s overwhelming.

You're not alone. Millions file for bankruptcy on a yearly basis, with Americans aged 35-44 leading the way. We have car loans and mortgages that we're struggling to stay on top of. The average household credit card debt is somewhere in the vicinity of $15,000!

Many of us aren't happy about any of this. One informal survey discovered if the average person had to reveal their debt or their weight, many would rather scream out the latter. The attitude wasn't based on privacy. People were genuinely ashamed of how they allowed themselves to get deep in debt. But when it comes to finances, regrets do not help. Deal with the problem directly. In other words, Get out of debt, Savannah!

Pay More than Minimums

If your credit card bills are overwhelming, stop using them. Easier written than done, yes, but it is the first step to tackling debt. Add 10 or more percent to batter the interest rate. In other words, if you have an average $20 interest rate, double that amount. This will speed up the payoff process and minimize the interest on the life of the credit line.

The Snowball Effect

This is a process that pays off debt smallest to largest. While making minimum monthly payments on large bills, put as much as you can into smaller balances. Once those small debts are paid off, you now have extra for the next set of small debts. As the smaller debts are paid off, you will have more money for larger bills.

Plan a Minimized Budget

The most effective way to lower debt is to cut back on expenses. A bare bones budget will go a long way. It will be tough, but once you see the results, chances are your discretionary spending will change forever.

Get a Second Job

Of course, earning more money will make payments easier. Maybe it's time to start that side business you have always dreamed about. A second stream of income - mowing yards, part time at a Savannah coffee shop, becoming a virtual assistant, cleaning, flipping burgers - will be worth it if you consciously focus on using that additional check solely to pay off debt.

Sell Stuff

From eBay to LetGo to yard sales and numerous on- and off-line marketplaces, there are plenty of ways to make money from what is lying around the house. There is plenty of stuff you want to keep, but how much of it do you really need? Take a serious look at what hidden treasures might be sitting in a closet or basement. There is a good chance someone would love to own it.

Negotiate with Debtors

If you have a good payment history, you may be in a good position to renegotiate lower interest rates or smaller payments. Of course, the lower your payments the harder it could be to get them paid off. But smaller payments can give provide a little relief and let you plan how to get out of debt.

Consider Transferring Balances

Again, if your payment history is good, consider a balance transfer to a new card with a lower interest rate or a promise of no APR for anywhere up to six months, a year or more, or a personal loan. With a card, you may have to pay a small transfer fee, but what you would pay in the long term may make it worth your time. Do not get the new card and start using it. You will have defeated its purpose.

As frustrating as being in debt is, it is incredibly easy to live with. If you want to be debt free and control your financial future, use steps like those above to achieve your goals. Here at Georgia Debt Relief of Savannah GA want to see our clients succeed in their goals. That’s why we’re here- to help anyone who wants get out of debt and stay out!